Legal aspects of buying and selling a franchise

LEGAL ASPECTS OF BUYING, RENEWING, EXTENDING AND SELLING ANY FRANCHISEArticle supplied by MCP Commercial Lawyers.Introduction - Buying, extending, renewing, or selling any Franchise will affect your life for future years. Parties must be aware of legal issues involved in such a transaction and recognise that both Franchisees and Franchisors have justifiable business interests to protect. Franchisors must know what they are selling and a potential Franchisee must know what they are buying. A Franchisor must also determine the most advantageous structure of ownership to operate the business. This article aims to address some prevalent issues and common problems relating to Franchising.Disclosure - A minimum level of disclosure is required by the Trade Practices (Industry Codes